The transition bank created on the basis of Diamantbank declared insolvent earlier would have enough attractive assets, and the bank had a potential investor, Diamantbank Board Chairman Oleh Khodachuk has said.

“In four days after the introduction of interim administration the bank’s employees carried out titanic work resulted in submitting an application of a qualified investor on the first working day of next week. This will be done using the creation of a transition bank that will be sold to the investor with the transfer of assets and liabilities of the insolvent bank to the investor and the liquidation of the insolvent bank,” he wrote on his Facebook page.

Khodachuk said that the Individuals Deposit Guarantee Fund announced the start of an open tender among preliminarily qualified investors.

He said that the bank’s managers planned to compensate for all deposits to the public and a part of deposits of companies in the transition bank.

Earlier he said that the total funds on the correspondent account at the National Bank of Ukraine (NBU), accounts in banks for security deposit for payment systems and cash in the bank’s cash desks at the moment of the introduction of interim administration amounted to UAH 600 million.

Khodachuk said that the deposits were assessed using a stress scenario that envisaged selling property used as collateral at the liquidation prices and the bank’s property at a low price, as well as the appraisal of the credit portfolio with 70% discount.

The NBU on April 24 recognized Diamantbank (Kyiv) insolvent.

Following the National Bank’s decision, the Individuals’ Deposit Guarantee Fund decided to withdraw the bank from the market by introducing temporary administration for one month – until May 23.

Diamantbank was registered by the NBU in November 1993. According to the bank, as of January 1, its largest shareholders were Ihor Kerez (44.4918% indirectly), Davyd Zhvaniya (23.81%), Andriy Schukin and Viacheslav Tsyhanenko (12.28% each indirectly).

The bank ranked 24th among 93 operating banks as of January 1, 2017, in terms of total assets worth UAH 7.414 billion, according to the NBU. (Interfax-Ukraine/Business World Magazine)